IRS Mileage Reimbursement Rate - Does Anyone Reimburse At A Different Rate?

 

IRS Mileage Reimbursement Rate - Does Anyone Reimburse At A Different Rate?

The IRS recently increased their mileage reimbursement rate to $0.555 - does anyone reimburse at a rate greater than or lower than this level? Either way, is there a compelling reason as to why or why not to reimburse at the IRS rate?

Thanks.

Anonymous (not verified)
Anonymous's picture

 

We use a different method for calculating our elected officials' monthly vehicle allowance. The IRS allows this alternative, so we base it on the average cost of operating a mid-size authomobile. We include fuel and maintenance cost per mile, monthly ownership cost and insurance cost in our allowance to a dozen officials.
Snohomish County, WA

Anonymous (not verified)
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Are these costs based on the elected officials vehicles? or the costs of ownership of the fleets vehicles?

Do you have $$ cost for different types of vehicles?
Fleet Manager
Pitkin County

Anonymous (not verified)
Anonymous's picture

State of WY reimburses $.555 if no state car is available and $.355 if there is a state car available and they choose to take their personal car for their own convenience.

Anonymous (not verified)
Anonymous's picture

We have an on-line calculator that compares the cost of a state Motor Pool vehicle to the IRS mileage rate for a given number of miles and days. If an employee choses to use their own car, they are paid the lesser of the two rates.

Anonymous (not verified)
Anonymous's picture

APS uses the IRS rate.

Anonymous (not verified)
Anonymous's picture

Using the IRS rate eliminates the need to develop, document and justify using a different rate and is probably why its use is so prevalent. I always wondered how a single rate can apply nationwide as the vehicle operating costs vary so widely from region to region and even state to state, but it's the IRS so it must be accurate, right?

Anonymous (not verified)
Anonymous's picture

Our Company currently uses the IRS allowable rate as the reimbursement to employees’ use of a personal car for company business. I would like to use the city by city calculator to determine the rate by region. This would allow the employee the ability to apply for the delta in exemption with IRS annually but the company to only pay a fair rate for the use of a vehicle. I am sure it would not only save the company dollars it would true up the annual mile driven by the reimbursed employees.